Currently, the 1.3000 pivot is the level to watch and recapturing would relieve the recent bearish pressure on E$ and should subsequently see E$ trade up to test 1 May's high of 1.3243. Gentle reminder that today is the start of the full moon zone and I am sure Ben Bernanke is going to inject volatility into the market when he testifies tonight at 10pm (Sin/HK).
Europe order book:
Stop loss: 1.2750/35, 1.2940/50, 1.2960/70 and 1.2970/300
Limit: 1.2790/70, 1.2820/00 and 1.2860/40
Orders do look very lopsided with strong bids below and buy stop orders lining up to 1.3000.
Primary trend: Bullish
Intermediate trend: Bullish for 1.34/1.35 (unless 1.27447 is breached)
Minor trend: Bullish for 1.3000
Technically, intraday indicator has swung into o/b zone and that will probably add on more resistance for rate to pull higher. However, intraday oscillator indicator is still showing momentum pointing firmly higher. Expected trading range 1.2850/70 to 1.2980/300. Risk/reward still favours buying on dips.
 |
| E$ Daily chart - Mean reversion? |
No comments:
Post a Comment